Student Loan Payments - GOING UP!

[PistolBob]

President Obama signed a EO today that maxes out your student loan payments at 10% of your monthly income. Does that make your payment go up or go down?

I don't owe any student loans so I don't care.

 

[PRasko]

I worked and payed cash for my schooling so don't know or care.

 

[PistolBob]

I worked and payed cash for my schooling so don't know or care.

But but but....what about the chillin?

 

[Maximinus Thrax]

So...we draw out the loan repayment period even further by making lower payments and paying more in interest over the life of the loan. Brilliant, why didn't I think of that as my loan repayment plan instead of living off of one income while dedicating the other to loans...my wife and I must be idiots.

 

[leftsock]

The chillin are adults and can make their own decisions about their education choices and how much debt they want to take on. Some educational institutions are better buys that others, and anyone receiving a high-priced education will eventually learn that after 5-10 years in the work force, no one gives two ****s about where you went to school; only that you did.

 

[Que]

If the OP doesn't care neither do I.

 

[MisterChester]

You can still pay more than 10% if you want to. Think of the 10% as a minimum payment for a credit card. Paying more if you choose is still an option.

 

[Bravo-4-2]

Most people today are too young to remember a time when the federal government had nothing to do with student loans. How much more of our lives must they confiscate before the average bubba walking down the street realizes what the term "freedom" really meant in America and how it is completely gone.

 

[jamil]

You can still pay more than 10% if you want to. Think of the 10% as a minimum payment for a credit card. Paying more if you choose is still an option.

It's more like a cap and only affects people whose normal payment is more than 10% of their incomes.

 

[MisterChester]

It's more like a cap and only affects people whose normal payment is more than 10% of their incomes.

Also true. It's a fancy bandage for the real issue, outrageous tuition costs. Certainly ain't inflation.

 

[HoughMade]

Also true. It's a fancy bandage for the real issue, outrageous tuition costs. Certainly ain't inflation.

QFT

 

[joslar15]

Also true. It's a fancy bandage for the real issue, outrageous tuition costs. Certainly ain't inflation.

The way I understand things, it's more of a chicken/egg thing. Tuition continues to go up because loans are readily available. Not everyone NEEDS to go to college.

 

[88GT]

The way I understand things, it's more of a chicken/egg thing. Tuition continues to go up because loans are readily available. Not everyone NEEDS to go to college.

Change tuition to housing market and loans to purchase mortgages and you have the housing boom of the first decade (that didn't really last but a few years since the actual credit-worthiness of the borrowers hadn't changed).

 

[hornadylnl]

Never took out the first student loan but I'm sure some of my tax dollars are subsidizing those who did and don't pay them back.

 

[MisterChester]

The way I understand things, it's more of a chicken/egg thing. Tuition continues to go up because loans are readily available. Not everyone NEEDS to go to college.

I'm sure they are correlated, but not totally. If the government stopped handing out college loans indefinitely tomorrow we would not see a drop in tuition. Colleges are turning into telecommunication companies, raising their prices more than inflation and inventing fees/charges that aren't necessary. You are right, not everyone needs to go to college. I don't think anyone would be able to find a high school these days that will tell that to students though. But who can blame them though? When a large number of decent paying jobs require a college degree, not getting one can severely limit career options if one does not go into a trade.

 

[MisterChester]

Change tuition to housing market and loans to purchase mortgages and you have the housing boom of the first decade (that didn't really last but a few years since the actual credit-worthiness of the borrowers hadn't changed).

It's a gigantic bubble, and the pin to pop it is getting dangerously close.

 

[Jludo]

I worked and payed cash for my schooling so don't know or care.

In what, 1965?
Show me the job I can work and pay my tuition in cash and I'll be there in a heartbeat.

 

[Jludo]

Never took out the first student loan but I'm sure some of my tax dollars are subsidizing those who did and don't pay them back.

I thought student loan debt was the only kind of debt you can't get out of paying.

 

[Jludo]

Most people today are too young to remember a time when the federal government had nothing to do with student loans.

I've heard stories...

 

[hornadylnl]

I thought student loan debt was the only kind of debt you can't get out of paying.

Yet.